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AIRLINES

New planes, training and hiring: Airlines are planning for a rebound after dismal pandemic year

U.S. airlines are laying the groundwork for a travel rebound that still looks months, if not years, away. Some carriers are buying new planes, while others are training pilots and even adding staff. Decisions they make now will affect how they will be positioned to capitalize on an eventual recovery in air travel. To be sure, U.S. airlines are still struggling, losing $150 million a day, said Nick Calio, CEO of Airlines for America, an industry group that represents United Airlines, American Airlines, Delta Air Lines, Southwest Airlines and other major carriers. Capacity is down by half compared with last year while passenger traffic is still off more than 60%, the industry group said.

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American Airlines implements wine delivery service

Now American Airlines is hoping to sell and ship some of its excess wine directly to peoples’ homes. There is a new program called American Airlines Flagship Cellars that will give customers a chance to buy wine by the bottle in custom “curated” cases or via a monthly subscription plan that costs $99 per month. American Airlines’ single-bottle wine offerings range in price from about $13 to $40, and the most expensive offering is a $300 three-pack of champagne. The wine bottles are among those that would have been served to customers with American Airlines’ flagship tickets, a luxury seating option on international and transcontinental flights. The coronavirus pandemic has battered the travel industry, leaving dozens of planes grounded and international travel greatly reduced.

Southwest pulls threat of furloughs after relief bill signed

DALLAS – Southwest Airlines is lifting the threat of furloughs or pay cuts for thousands of workers now that U.S. airlines will get up to $15 billion more in taxpayer aid contained in the coronavirus-relief bill. American and United Airlines, which together furloughed 32,000 employees in October, said Monday they will bring those workers back temporarily. This month, Southwest warned nearly 7,000 workers that their jobs could be in danger if their unions did not accept pay cuts of about 10%. Southwest Chairman and CEO Gary Kelly told employees Monday that federal relief “was always our preferred plan, and it means we can stop the movement toward furloughs and pay cuts that we previously announced.”Kelly said Dallas-based Southwest doesn’t expect the need for any furloughs or pay cuts in 2021. This spring, as the pandemic caused a nosedive in travel, airlines warned of massive layoffs unless Congress provided federal aid.

Airline furloughs begin as federal pandemic relief expires

U.S. airlines began furloughing more than 32,000 employees on Thursday after a federal prohibition on job cuts expired. American Airlines and United Airlines said that they could reverse the furloughs if Congress and the White House quickly agree to provide billions more in taxpayer help to the embattled airline industry. The White House included $20 billion for airlines in a $1.6 trillion COVID-19 relief proposal, moving closer to House Democrats' $2.2 trillion plan. Airlines and their unions are lobbying for money to keep workers on airline payrolls for six more months, through next March. They received $25 billion, mostly in cash, to pay employees through Sept. 30 in exchange for avoiding layoffs or furloughs.

Airline CEO: If you insist on not wearing a mask, we’ll insist you not fly with us -- from here on out

Delta Air Lines CEO Ed Bastian has put out what some are calling an aggressive enforcement of mask-wearing on the company’s flights. ”If you board the plane and you insist on not wearing your mask, we will insist that you don’t fly Delta into the future,” Bastian told Today in an interview Wednesday. The CEO said the stance is one he’s taking in order to keep crew and passengers safe during the pandemic. As the coronavirus pandemic continues, Delta flights have been booked to 60% of their capacity, Today reported after speaking with Bastian. “We’ve had some customers indicate that they have (an) underlying condition that makes wearing a mask dangerous for them,” Bastian said.

Airlines ban alcohol on planes in response to COVID-19

Alcohol sales may have boomed during the lockdown, but our return to air travel will be an altogether more sobering experience. Airlines including Easyjet and KLM in Europe, Delta Air Lines and American Airlines in the United States, and Asias Virgin Australia, are suspending all or part of their alcoholic drinks service in response to COVID-19. Food service will resume gradually in coming months. Alcohol isn't off the menu, though -- it's chosen to ax its hot drinks service instead, throughout July. The AmericasDelta Airlines isn't serving alcohol on domestic flights or within the Americas, but beer, wine and spirits can be found on all other international flights.

US will allow limited flights by Chinese airlines, not a ban

The Trump administration said Friday it will let Chinese airlines operate a limited number of flights to the U.S., backing down from a threat to ban the flights. The decision came one day after China appeared to open the door to U.S. carriers United Airlines and Delta Air Lines resuming one flight per week each into the country. United, Delta and American Airlines suspended flights to China before mid-March. Air China, China Eastern Airlines, China Southern Airlines and Xiamen Airlines continue flying those routes. The Transportation Department announced Wednesday that it would prohibit all passenger airline flights from China no later than June 16.